Trident Microsystems Outlines Strategy to Serve the High-Growth China Market

Trident President Hosts Press Conference in Beijing to Kick off this Week’s China Content Broadcasting Network (CCBN) Conference

SANTA CLARA, Calif. — Trident Microsystems, Inc. (Nasdaq: TRID), a leader in high-performance semiconductor system solutions for the connected home, today unveiled its China strategy and outlined how it plans to help Chinese manufacturers compete in the global market as well as in the aggressive and high-volume local China market. With more than 400 million TV households, China represents the fastest-growing TV and set-top box market in the world and Trident is uniquely positioned to serve that market as a top-three industry player in both market segments.

“The China market is experiencing its second major IT revitalization and the government is spearheading major initiatives to bring digital TV and triple services throughout the region,” said Sylvia Summers, CEO of Trident Microsystems. “Trident is uniquely positioned to serve this massive IT convergence because we hold the enabling technologies for both TV and STB and have strong relationships with the government, telecommunications operators and TV broadcast suppliers.”

The China Market: Two Major Initiatives Underway

At a press conference today in Beijing, Trident’s president Christos Lagomichos unveiled the company’s China strategy to more than 25 technology and business reporters. There are two major government-funded initiatives currently taking place in China that are aimed at delivering digital TV and triple play services (voice, video, data) to households across the country. Trident’s current product roadmaps and core expertise deliver the enabling technologies to address both of these markets today and in the future. Trident is the only IC supplier in the world that holds top three positions in the TV and STB markets and this technology strength and synergy can help Chinese customers win the high-volume designs.

• Direct-to-Home (DTH) – This is the first satellite broadcast network in China aimed at delivering digital TV services to approximately 200 million users across the region, including remote areas without cable. Trident is one of three STB silicon providers chosen to deliver the MPEG solution for the initial DTH phase, which represents approximately 9 million units.
• Next Generation Broadcasting – This is a government-funded initiative to construct a new converged Infrastructure throughout China. Services to be offered include interactive TV (video on demand, pay-per view), videophone, streaming music and video, and broadcast TV, among existing services in today’s telecom and Internet markets. Given the number of households in China, NGB will provide enormous revenue/growth opportunities for local operators, manufacturers, content providers, etc. Trident’s DTV and STB roadmap, which include the industry first 45nm designs, are NGB ready today and the Company is working with local Chinese manufacturers to ensure they continue to meet the requirements in the future.

Added Christos Lagomichos, president of Trident “As demonstrated today in our Beijing press conference, Trident is committed to the China market. We are in a position to help local companies compete globally and locally by offering the best STB and TV technologies in the industry and delivering strong local support with global resources. We look forward to working with our many customers in China and helping them succeed in the future.”